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• W213091857 abstract "The annual return-to-work rate for people with disabilities who are Social Security Disability Insurance (SSDI) beneficiaries is approximately one half of one percent (Social Security Administration, 2009, Tables 1 & 50). That is, only one half of one percent of SSDI disabled workers each year has had their benefits terminated due to work above the Substantial Gainful Activity (SGA) threshold defined by the Social Security Administration (SSA). Longitudinal analyses have found that, within l0 years following initial SSDI award, less than 4 percent of beneficiaries have had their benefits terminated after finding work, and more than a quarter of those individuals have had their benefits reinstated by the end of the 10-year period (Liu & Stapleton, 2010). These low return-to-work rates for SSDI beneficiaries have been observed against the backdrop of a long-term decline, occurring since the early 1980s, in employment rates for people with disabilities in general relative to those of people without disabilities, as measured by multiple, longstanding, national surveys (Weathers & Wittenburg, 2009). In an attempt to change these patterns, SSA has created a variety of work incentive programs intended to encourage SSDI beneficiaries to increase their employment participation and earnings, but none of those programs has addressed the all or benefit provisions of SSDI. Under those provisions, beneficiaries lose their entire monthly benefit check if and when their earnings rise above SSA's Substantial Gainful Activity (SGA) threshold, following a nine-month Trial Work Period (TWP) defined under SSA rules. (The SGA income threshold for most beneficiaries in 2008, the last year of the timeframe of analysis, was $940 per month.) The sudden income drop from receiving a full benefit one month to receiving nothing the next has been called the SSDI cliff. For decades, SSDI beneficiaries and disability advocates have pointed to the as a powerful disincentive to work, and cited it as a key factor behind the extremely low return-to-work rate among SSDI beneficiaries (Johnson-Lamarche & Baird, 1997; Status of Veterans' Employment, 2010). A majority of SSDI beneficiaries do not engage in employment and, among those who do, a statistically significant number have been observed to park their earnings below the SGA threshold (Schimmel, Stapleton, & Song, 2010). Many beneficiaries and advocates have argued that replacing the cash cliff with a graduated benefit offset, similar to that applied to the earnings of Supplemental Security Income (SSI) recipients, would incentivize employment, and encourage SSDI beneficiaries to increase their earnings and gradually reduce their dependence on cash benefits. As part of the Ticket to Work and Work Incentives Improvement Act of 1999, Congress mandated that SSA conduct a demonstration to test whether replacing the cash cliff with a gradual reduction in benefits would increase employment levels and earnings for SSDI beneficiaries. In response to that mandate, SSA contracted with four states in 2005 to carry out small-scale pilots, as a first step in preparing for SSA's Benefit Offset National Demonstration (BOND). (For further information on the BOND, please see http://www.ssa.gov/disabilityresearch/offsetnational.htm.) The pilots tested a graduated benefit offset which would reduce a beneficiary's SSDI benefit check by $1 for every $2 earned above the SGA threshold, for earnings which otherwise would have resulted in a complete termination of the individual's cash benefit. The purpose of this study was to evaluate employment and earnings outcomes from one of those pilots, the Vermont SSDI Benefit Offset Demonstration. Methods Study Design This study evaluated employment and earnings outcomes for the Vermont SSDI Benefit Offset Demonstration Pilot within a random-assignment, experimental design. After each eligible person provided informed consent for participation in the Pilot, he or she was randomly assigned to one of two study groups: treatment or control. …" @default.
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• W213091857 date "2011-04-01" @default.
• W213091857 modified "2023-09-27" @default.
• W213091857 title "Effects on Beneficiary Employment and Earnings of a Graduated $1-for-$2 Benefit Offset for Social Security Disability Insurance (SSDI)" @default.
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